SB 215-COMMON CARRIER LIQUOR LICENSE CHAIR MURKOWSKI announced that the first order of business would be CS FOR SENATE BILL NO. 215(FIN), "An Act relating to licensing common carriers to dispense alcoholic beverages; and providing for an effective date." CHAIR MURKOWSKI reminded the committee that this legislation was set aside at a past hearing because committee members had questions for which there were no answers at the time. Number 0107 DON SMITH, Staff to Senator John Cowdery, Senate Transportation Standing Committee, Alaska State Legislature, announced that Representative Rokeberg was correct in his interpretation of Title IV in that this legislation would raise the fees for the seasonal licenses from $700 to $1,000. However, the fiscal note would be less because the [seasonal] carriers would pay a slightly higher rate. He noted that seasonal license holders pay 50 percent of the fee. In response to Chair Murkowski, Mr. Smith related that a lobbyist for Alaska Airlines informed him that there are no additional fees [imposed] in other states. CHAIR MURKOWSKI noted that the committee packet should include an e-mail from Doug Griffin dated with today's date. Chair Murkowski asked if Mr. McKay could shed any light as to why Alaska is unique with regard to the amount assessed on the common carrier licenses for Alaska Airlines. Number 0318 BILL MACKAY, Vice President, Public and Government Affairs, Alaska Airlines - Seattle, testified via teleconference. Mr. MacKay related that he had confirmed with [Alaska Airlines'] finance group that the charges on the systemwide state-to-state license fee page are only charges associated with liquor licenses. Illinois did want to amend [its fees], he noted, to a flat $60 charge rather than the previous $1,260. Illinois only requires Alaska Airlines to license one aircraft. He also noted that Colorado and Maine are missing from the list because those contracts were recently initiated. Mr. MacKay said that he had no idea how Alaska's formula has gotten so out of line in comparison to the other states. REPRESENTATIVE ROKEBERG asked if Mr. MacKay has seen a fee schedule of all the 50 states and other jurisdictions. He asked if there are any fees in Mexico. MR. MACKAY answered that he hasn't seen such a spreadsheet and didn't know the answer regarding fees for Mexico, but offered to provide that information as well as the information regarding Colorado and Maine. Number 0462 DOUGLAS GRIFFIN, Director, Alcoholic Beverage Control Board, Department of Revenue, testified via teleconference. Mr. Griffin pointed out that Alaska Airlines is unique due to the number of licenses it holds. Beside the 104 common carrier licenses held by Alaska Airlines, only 111 others are held. Alaska Airlines pays full price for those 104 common carrier licenses. Of the other 111 licenses, 89 are seasonal and 22 are year round license, which is why this fee increase doesn't generate much additional revenue. Mr. Griffin pointed out that AS 04.11.680 is the provision that provides the seasonal common carriers a break. MR. GRIFFIN said that with this legislation, the offset does cost the state a little less, although it doesn't make up all the breaks Alaska Airlines receives. Mr. Griffin related his belief that this is an area in which the board realizes that Alaska's statutes are probably in need of comprehensive revision. Mr. Griffin, in response to Representative Rokeberg, confirmed that the board will submit a revised fiscal note. CHAIR MURKOWSKI, upon determining no one else wished to testify, closed public testimony. Number 0727 REPRESENTATIVE MEYER moved to report CSSB 215(FIN) out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, CSSB 215(FIN) was reported from the House Labor and Commerce Standing Committee.